Automobile Insurance:

• Am I required to have automobile insurance?
• What types of automobile insurance coverage are required?
• What is third party liability coverage?
• What are accident benefits?
• How much are accident benefits?
• What is uninsured and unidentified driver insurance coverage?
• What types of automobile insurance coverage are optional?
• Where can I get more information about insurance?

Q. Am I required to have automobile insurance?

A. Yes. It is an offence under Nova Scotia’s Motor Vehicle Act to drive without insurance. In addition, drivers must provide a Statement of Insurance to the Registry of Motor Vehicles when registering or renewing a vehicle registration.

Q. What types of automobile insurance coverage are required?

A. Nova Scotia drivers must have:
1) third party liability coverage;
2) accident benefits coverage, and;
3) uninsured and unidentified drivers coverage.
These three types of automobile insurance coverage are mandatory in Nova Scotia. They are found in sections A, B, and D, respectively, of your automobile insurance policy.

Q. What is third party liability coverage?

A. Third party liability coverage, also called PLPD, insures you if you injure someone, cause someone’s death, or damage someone else’s property in a motor vehicle accident. You must have at least $500,000 of third party liability coverage, although it is common to have $1,000,000 of coverage. Third party liability coverage is found in section A of a standard automobile insurance policy.

Q. What are accident benefits?

A. Accident benefits, also called ‘section B’ or no-fault benefits, provide coverage if you and/or passengers are injured in a motor vehicle accident. They include medical and rehabilitation expenses, death and funeral benefits, and loss of income. Accident benefits are no-fault. This means you are generally entitled to accident benefits even if you caused the accident. There are some important limitations. For example, if you are convicted of impaired driving in connection with the accident, or if you were not licensed to drive, you would be denied accident benefits. However, any passenger injured would still be able to make a claim.

Q. How much are accident benefits?

A. Accident benefits cover:
1) reasonable medical and rehabilitation expenses up to a maximum of $25,000 per person;
2) funeral expenses up to $1,000, and some death benefits;
3) loss of income, generally at the rate of $140 per week if you were working at the date of the accident.

Q. What is uninsured and unidentified driver insurance coverage?

A. If an unidentified driver, or a driver without insurance, injures you or damages your vehicle you may make a claim under the uninsured and unidentified driver section of your own automobile insurance policy. This is section D of a standard automobile insurance policy.

Q. What types of automobile insurance coverage are optional?

A. Collision and comprehensive coverage, or section C in a standard insurance policy, is optional. Collision insurance covers damage to your vehicle from an accident, even if you are at fault for the accident. Comprehensive insurance covers loss or damage to your vehicle if you hit an animal, or if your vehicle is stolen, vandalized, damaged in a fire.
Further, you may choose to get additional section B benefits coverage.

Q. Where can I get more information about insurance?

A. You may contact the Insurance Bureau of Canada’s Information Centre at 1.800.565.7189 or 429.2730 (Hfx) or visit its website at www.ibc.ca. The Insurance Bureau of Canada is the national trade association of private insurance companies. You may also contact Nova Scotia’s Office of the Superintendant of Insurance at 902.424.4987 (Halifax and Area) or 1.800.898.7668 or online at www.gov.ns.ca/enla/insurance.